Tesla CEO Elon Musk is feeling heat from the stock market or something he’s drinking, eating, or using has caused him to tweet he and the company into a corner. Musk said he’s thinking of taking Tesla private; maybe thanks to some rich folks in the Mideast. I have another option.
This is not a new idea. Apple should buy Tesla. Why? First, Apple has the money. Second, Tesla needs money. Third, Apple should manufacture a line of modern, autonomoous cars but that will take a decade. Fourth, Tesla already does that.
Apple should buy Tesla and it seems to me that Musk might actually be setting up Tesla to fall into someone’s hands… or money. As an automobile manufacturer, Tesla is ridiculously overpriced at about $54-billion. Ford rolls in at not even $40-billion, GM is $53-billion, and Fiat-Chrysler comes in at half that.
Tesla is not a bargain. Apple can afford that price and nobody else can afford it.
Whatever Apple is doing with Project Titan, the company’s not-so-secretive car project, it has taken a long time to get nowhere. Tesla is here now. Tesla has customers. Tesla has manufacturing. Tesla has software that appears as Apple-like as someone else’s software can get without an ensuing lawsuit.
Tesla needs Apple. If Elon Musk continues down the sordid path of self-immolation then the company’s stock might take a rapid dive and Apple could swoop in and become the Silicon Valley savior Tesla so desperately needs.
On the other side of the equation, Apple could just sit and wait for Tesla’s fade into the history books, spend $20-billion and start their own manufacturing and couple the resultant car designs with the company’s famous software, and a new era will be born.
Seriously, though… don’t you think Apple should buy Tesla?